>> there are a lot of people in this country hurting. the presidency has been unsuccessful in getting people back to work. so they are casting it about to make attacks and save the president's skin and save the campaign. that is not going to work. >> molly: the president speaking in the pouring rain to supporters in virginia today did not mentioned the bain controversy but continued to try to paint romney as a businessman who helped ship jobs overseas. >> mr. romney has a different idea. he invested in companies that have been called pioneers of outsourcing. i don't want to pioneer in outsourcing i wanted in insourcing. i want to bring companies back. >> molly: today a spokesperson says romney, quote is misleading the people or misleading the government about his tenure at

bain but stopped short of repeating the felony remark. romney says we expect more from the president than these kinds of attacks. >> gregg: more on the political fallout from the heated rhetoric. urging the president to, quote, rein in his staff. so which campaign is winning the war of words? erin is reporter for real clear politics. until yesterday romney was fairly stoic in enduring these attack ads but his tenure at bain capital. if you are responding you are losing. when stephanie cutter, a senior aide said me may have committed a felony invited yesterday's blitz demanding the apology?

>> sure. in many ways that comment by stephanie was a gift to the romney campaign virtually no one thinks that mitt romney is a felon or did anything particularly wrong. it was a bit an oversight or difficult for him to relinquish his role. >> gregg: the obama campaign ads may be false and dishonest which most fact checkers found. let's put one of them up on the screen. smears often work and here is a map of the swing states where the ads are running. a recent poll shows that more voters in those states view governor romney's business experience negatively than positively. other polls show him losing his edge on handling of the economy which, of course, is the main argument for his candidacy.

what do you make of that. >> i would point out to you in the real clear politics polling average of just about all the battleground states that are going to be decisive this fall, president obama is still leading and has grown his lead. in the national average, no matter what has happened in the economy, president obama has led mitt romney for nine months. the obama campaign has been in a rush to define mitt romney before he can define himself and absolutely that has taken a toll. so the romney campaign in responding as they did yesterday to five, two is trying to put an end to some of the definition that they are using. >> gregg: if the president has difficulty defending his record he as you pointed out needs to sort of change the subject trying to disqualify his opponent and conversely, governor rom's challenge is redirect the subject back to jobs and economic growth. that is exactly what he did in

the interview with fox yesterday. take a listen. >> we are now 41 straight months of unemployment above 8% and what does the president do -- he says he is going to raise taxes on people. he is trying to gut welfare reform as we know it and launches attacks of this nature. it's beneath the dignity of his office. >> gregg: is that the real challenge for romney. work the main subject back to the topic line? >> of course it is. but what should be satisfactory answer tenure at bain the issue won't go away. obama says they were not satisfied with mitt romney's answer and they are asking for more years of tax returns. mitt romney says he won't do. so until he gives more of an answer and gives more tax returns, we won't hear an end to this discussion. >> gregg: romney is being

outgunned in advertising wars and where obama campaign is outspending him. how critical are the spending wars? >> extremely critical but here is the important point. the obama campaign is spending more money right now but voters won't tune in until very much until after labor day. at that point the projections of the fund-raising so far the romney campaign and romney allies will outspend the president. >> gregg: thank you so much. >> president obama and republicans are trading jabs on extending the bush-era tax rates. they are calling the president's plan a tax increase on small businesses and job creators. >> today instead of lifting the burden on job creators, president is calling for a massive tax increase on one million small businesses. i go eggs he still thinks the

private sector is doing fine. the private sector is not fine and raising taxes makes about as much sense about cutting off water supply during a drought. >> the president was denouncing unnecessary drama criticizing some in congress for opposing his plans to let tax cuts expire for americans that earn more than $250,000 a year. >> one path, pushed by republicans in congress and their nominee for president says that the best way to create prosperity is to let it trickle down from the top. they believe if we spend trillions dollars more on tax cuts for the wealthy it will somehow create jobs even if we have to pay for it by raising middle-class taxes. i think they are wrong. we tried it that way for most of the last decade. it didn't work. >> republicans favor extending the bush tax rates for everyone. president obama says he'll veto any bill keeping tax rates the

same for everyone. so do some americans pay too little? do middle americans pay too much? we're going to give you the facts coming up later this hour. >> gregg: a fox news alert. united nations observers investigating the latest report massacre in syria. entering a village after receiving word that a cease-fire was in place. government forces reportedly pounding the village with tank fire and artillery killing more than 220 people. activists claim the atrocity is one of the worst single days of bloodshed in the up rising. newer concerns over a dangerous and significant development. fox news confirming that syria has started moving parts of its massive stockpile of chemical weapons. destination is unknown but raising fears that the regime is preparing to use them. syria has one of the largest arsenals of chemical weapons in

the world. we'll be talking about this new threat a little later on when we are joined by john bolton former u.s. ambassador. >> meanwhile, secretary of state hillary clinton, historic visit to egypt holding a series of high level talks with the country's newest president mohammad morsi. her goal is to aid their transition to a stable democracy. leland vitter is live. >> it couldn't happen at a more important time here in egypt. they have been a key u.s. ally and now it's getting a little shaky. she flew in to meet with morsi. morsi was in jail in the muslim brotherhood group and was

taking. morsi was involved with a power struggle between the egyptian army who was running the country and now and his administration who was voted in. we have a map how important egypt is and why. the u.s. secretary of state is offering foreign aid debt reduction for things like stability along the borders, continued access to the suez canal and continued diplomatic crisis in terms of intelligence sharing going forward. the concern by the united states is that egypt is going to turn into another turkey. turkey was a strong u.s. ally, supported nato and then then invited them in and it went

meteorologist maria molena is busy in the weather center. >> hi, good see you. >> we are expecting more rain in the houston area, all associated with a large area of low pressure that is tracking eastward. it has a lot of moisture out of the gulf of mexico and firing up to parts of the mid-atlantic. you can see showers across great lakes and down to the gulf coast.

that is what we have been seeing a lot of activity with heavy rain producing flooding. it's going to take time for a lot of that water that currently is in houston area to continue to recede but fortunately for today and as we head in tomorrow unfortunately we're going the see heavy downpours around houston, texas and coast of louisiana where we're goi to continue to see heavy rain forming during the afternoon and evening hours as we get some of the daytime heating. otherwise we're going to see a lot of heavy rain, further across utah. parts of arizona and nevada and southern california, an additional one to two inches of rainfall will be possible through tonight. we've seen a lot of moisture and ground is saturated with the heavy rains. there are a number of watches across these states in effect later on tonight. further north in idaho, western montana and eastern parts of oregon and washington, strong to severe storms and large hail and damaging wind gusts will be

possible. we'll keep i posted and up to date here. further east across the center of the country, extreme heat. hundred degrees will be high in rapid city. that is where the temperatures are headed further to the east grandson the great lakes over the northeast in the next couple of days, by tuesday, it could be 93. >> i have one word -- yikes. >> gregg: well said. >> all right. a warning from the department of defense growing strength of iranian's military capability. >> also san bernardino latest city to file for bankruptcy. this could be start of disturbing trend? >> and president obama calling for the nation's high income earners to pay their, quote, fair share. what does that mean? we'll take a look. >> are you going to make it

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>>. >> gregg: quick check. actor sylvester stallone

mourning the death of his oldest son sage. no word on the cause of death. they report that prescription drug bottles found at the scene. he was 36 years old. a deadly storm hammering southeastern japan. 29 people reported dead or missing. storm forcing thousands of others to evacuate their homes. >> arthel: one of the most respected financial minds in the world predicting a dire future for cash strapped states. warren buffett says it's a sign of things to come. san bernardino is third city to file for bankruptcy in a matter of weeks is a new wave of cities going to declare bankruptcy? first of all, hi, good to see you this afternoon. >> thanks for having me. >> arthel: when he speaks, we listen. he is saying that some of

sizable cities are taking this financial fall takes the stigma away. and more cities could follow suit. do you agree? >> yeah, it sets a precedent. i think a lot of cities are in bad shape between the housing drop in price and less taxes as well as the ridiculous obscene payment of legacy costs, cities have recognized that there is only one way to get around this and that is bankruptcy. bankruptcy is not the worst thing in the world. it actually gives the cities a chance to get their act together. >> arthel: what happens when a city files for bankruptcy. do the lights go off or bill collectors come calling. there is a municipal bond there. >> they are still running their business. debts do not get paid for now. they do something called a workout. there is municipal bondholders

will get big haircuts sometimes. but it gives a chance to negotiate all the bad deals in the past and get back to the norm. bottom line is when you are spending a lot more you you are bringing in and frankly, these cities have set themselves up even in the best of times they were still losing money. it gives them a chance to get back to the norm and get things like we do with our checkbooks, put them in line. when we make a dollar we don't spend a dollar one. i do think they will have to get rid of some people unfortunately. that is part of the game. >> arthel: you mentioned a couple things. city's way of hitting a reset button to get rid of bad contracts. so is that why the city waits for bankruptcy to renegotiate pension contracts and the like? >> that is the exact word i was going to use. they will use their leverage.

they have taxing power. they can try that. this is to gain leverage with all the legacy costs, with the pensions and healthcare and retirees. as well as if they have too many employees. this is their way of going back and saying, we have no choice at this point in time. good news on the other side of this, you have some more efficient cities able to run their, i call them businesses much better in the future. >> arthel: we will start looking toward their business plan more so? >> you are going -- you are seeing it already. i wouldn't say every city around the country, what are our costs and where do we cut. unfortunately a lot of places are raising taxes and that is not good news. they are going to lose citizens to other cities. warren buffet is completely right about this. expect more of it. i don't think it's a bad thing.

i think it's a good thing. it's not the worst thing possible. >> arthel: if you are living in one of those cities that is about to run out of dough or perhaps already have, what do you do? >> if you love where you are, stay where you are. all these cities will get their act together. you saw orange county many years ago because they mishandled the money. they had to file bankruptcy and came back and no problems after that. almost no problems. these are things that happen. i think the cities will be good going forward. >> arthel: and there are possible criminal charges that some of the officials in san bernardino perhaps cooking the books, ignoring the numbers. >> for decades. clear loss of accountability. we saw some places in california where i think commissioners have $750,000 salary, that is obscene and hopefully there is not too

much of that out there. >> arthel: i feel you have optimism in your back pocket. i am going to hold on to myself and hope the cities can get their affairs in order without hurting the people too much. gary, thank you very much. >> gregg: big business for receivers to come in the cities and they start slash away. judges give them free latitude. >> arthel: gary said, nobody ants to hear more taxes and people expecting pensions, it's a complicated problem to solve. >> gregg: it sure is. >> new concerns about a growing threat from iran. a sobering report on tehran's military build-up on land, air and sea. new concerns over the crisis in syria, reported massacre of hundreds of civilians and now the defense department warning that regime's chemical arsenal is being moved raising fears

they may plan to use those chemical agents on their own people. ambassador john bolton weighing in oh what the international community needs to do, next. okay, team! after age 40, we can start losing muscle -- 8% every 10 years. wow. wow. but you can help fight muscle loss with exercise and ensure muscle health. i've got revigor. what's revigor? it's the amino acid metabolite, hmb to help rebuild muscle and strength naturally lost over time. [ female announcer ] ensure muscle health has revigor and protein to help protect, preserve, and promote muscle health. keeps you from getting soft. [ major nutrition ] ensure. nutrition in charge!

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>>. >> gregg: out of syria, united nations observers arriving at farming village to investigate reports of mass killings of more than 220 people. deaths sparking international outrage but no break in the deadlock among world powers to how to end the bloodshed. some of syria's chemical arsenal is on the move. reasons for the transfer not really clear. syria has one of the biggest and most lethal stock pilots of chemical agents in the world. we're talking about nerve gas, mustard gas, cyanide. does the united states have to act now to crack down on syrian president assad to prevent

larger massacres? joining us live. john bolton, former u.s. ambassador to the united nations and fox news contributor. good to see you. does the movement of chemical weapons closer to some of the heaviest fighting escalating already dangerous crisis, would assad really use these chemicals on his own people. we're talking about innocent civilians, women and children. a campaign of ethnic cleansing? >> his father did in fact use chemical weapons against syrians in a town of hama killing as many as 10,000 according to estimates. obviously the world is a different place with cellphones and youtube, it would be much more difficult for assad to use chemical weapons and get away with it. it's not as all clear what the government has in mind in moving

these weapons. certainly, getting them ready operationally to deploy them could be one possibility. getting closer to government hands or government secure areas so to make sure they don't fall into the hands of opposition might be another. >> gregg: secretary of state hillary clinton is calling for increased pressure by the international community. what pressure? verbal condemnation which assad seems to ignore with impunity? >> another stiff note from the united nations isn't going to change this around. secretary clinton said about ten days ago that she was dismayed that neither russia nor china had paid a price, her words, for support for the assad regime. they need to start paying a price. i think that is absolutely right. until the strategic exchanges, these pictures coming out of syria are not going to change.

the question is how do you make russia and china and iran pay a price. unfortunately neither the obama administration nor our friends in europe have really done what it takes. i think you have to say to the russians our relations are going to be different unless you change your behavior. we're going back to constructing a robust national missile defense system, we're going to get out new start arms agreement. we're prepared to do a lot of things and forget the reset button in our relations which obviously hasn't changed a thing. >> gregg: what about military force? should the kind of military support that forced moammar khadafy from power in libya should be considered in syria. should nato or turkey intervene or should america get involved? >> i don't think we're ready for that. among other reasons we're not going to get anything like the kind of international approval that we had in the context of libya.

that doesn't bother me so much. the fact that the environment in syria is very different. russia and chinese and iranian support for the assad regime make it a different political and military context. to get involved in syria meanings taking on the regime and run which i'm fully prepared to do but i am worried that the obama administration could be induce in order negotiation when if assad looks shaky iran would give up the pawn, supported for the assad regime, in exchange for protecting its nuclear weapons program. i worry that the obama administration may be to take such a deal and that would be disaster. >> gregg: you said i shall prepared to take on the regime in tehran, how? >> i thought for ten years or more, regime change in tehran. i think it's a mistake to believe that we can dip our toe

our water into syria and not face larger consequences with iran. i think that is one reason why president obama has refrained from taking any significant action because he knows once he goes directly against iran's interests in syria, he can kiss goodbye any prospect for negotiating with iran over the nuclear weapons program. that doesn't trouble me because that negotiation is going fail anyway. i think we need a long term commitment to regime change in tehran to support democratic opposition forces. we should have done it long ago. >> gregg: giving him money and what else? >> i think we could provide material support for the opposition in a lot of different ways that congress has given both the bush and obama administration's authority for that. we haven't done nearly enough there. people would say it would taint the opposition. my response let's ask the opposition if a little support

couldn't help them and let them decide. >> gregg: i think we did nothing during the green revolution. that didn't seem to move tehran. maybe an active participation as you suggest. ambassador john bolton, good to talk to you. thank you. >> arthel: a homicide bomber attacking a packed wedding hall in afghanistan. it happened in a northern city at least 23 people were killed. at least 60 more were hurt. the bomber targeting and killing a powerful afghan member of parliament and the father of the bride. afghan president hamid karzai condemned the attack and vowing an investigation. no one group claiming responsibility as of yet. british forces ramping up security with less than two weeks before the olympic games. nation's royal air force placing extra air stays restrictions around the london area today. surface to air missiles already in place and jets and

helicopters armed with snipers will be patrolling the restricted zones. 3500 british troops to protect the city after a private security contractor failed in it's a promise to deliver more than 10,000 security guards. that brings the total number of military personnel protecting the games to 17,000. an update on the olympic uniform controversy. clothing coming ralph lauren changing its tune after it was discovered that team u.s.a.'s uniform says actually made in china. some lawmakers demanding they be remade and the u.s. olympic committee says there is time to make the switch. ralph lauren now promising american made uniforms for the winter games in russia. >> gregg: they look nice. it's a snappy beret. >> i could lose the be relt. >> i'm note a beret kind of guy but it looks nice on the other folks. a stunning pentagon report.

the report by leon panetta finding iran upgrading all categories of warfare improving armed forces in the land, sea and air and even the ballistic missile program. as we hear new threats from iran to block the straits of hormuz to which 20% of the world's oil travels every day. >> reporter: ballistic missile tests conducted by iran ease revolutionary guard corps last week coincided with a reported that leon panetta sent to congress june 29. the report seize an islamic regime on the march in all conventional and unconvention and all categories. iran's stead growth in rocket category and improvement of the range of these systems. >> this administration has been

very strong on the issue of iran and military and nuclear capability. developing widespread consensus to bring pressure to bear. >> armed with missiles that can reach israel. iran is building more and may be able to test fly capable of striking america by 2015. u.s. own naval build-up in the persian gulf is deployment of warship which helicopters and special forces can be launched into action and also german made under sea drones. >> a lot of oil traffic goes there the straits of hormuz is a natural choke point. >> they found iran pursuing a range of activity that could be applied to production of nuclear weapons. >> the president ought to use more of the tools that were given to him to get iran to

declare that they are not going to produce nuclear weapons. >> independent analysts say it wouldn't be long they can make a hundred yard dash to the nuclear bomb. >> they have the intention to build a nuclear weapon, but they have not made a decision to do so. this report is talking about intercontinental missile being flight tested as soon as 2015 adds another reason why we need to settle this sooner rather than later. >> to increase pressure the u.s. treasury department says it is placing another 11 entities and four individuals, members of iran's military and aerospace and shipping industry. >> gregg: thanks very much. >> arthel: a possible breakthrough for the treatment of alzheimer's. we're going to have more on the discovery that researchers holds a lot of promise. >> gregg: and president's push for what he calls a fairer tax

system, but what his plan to raise taxes on some americans really be fair? we'll take a look next. >> we want an income tax that has fair according to the obama administration's standards we already have it. and i had a heart attack right out of the clear blue... he was just... "get me an aspirin"... yeah... i knew that i was doing the right thing, when i gave him the bayer. i'm on an aspirin regimen... and i take bayer chewables. [ male announcer ] aspirin is not appropriate for everyone so be sure to talk to your doctor before you begin an aspirin regimen. so he's a success story... [ laughs ] he's my success story. [ male announcer ] learn how to protect your heart at i am proheart on facebook.

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>>. >> gregg: welcome back. we heard both president obama and mitt romney go back and forth over what is fair when it comes to taxes. well, what exactly is a fair share anyway? jim angle takes a look. >> reporter: president obama repeatedly invokes tax fairness as a major campaign issue turning over to the phrase, fair share. >> that asks the wealthiest americans to help pay down our deficits to do their fair share. >> to pay their fair share. >> we have top half paying that.

>> and it's compared to how much necessity pay to the nation's total income taxes, irs figures show the top 1 percent take 16.9% but pay 36.7 of the nation's income tax, top 35% take home more than 31% of the total income but pay almost 59% of total taxes. and finally, the top 10% take home a little over 43% of the total income but pay more than 70% of all income taxes. >> how can you make it fairer. 75%. 90%. pay all of it? will that finally be fair. >> as i it now stands, 90% of all americans pay 30% of all income taxes. >> we wanted an income tax system that is fair according to the administration's own standards. we already have it.

>> reporter: he doesn't mention another factor fairness equation close to half american workers pay no federal income tax at all. >> that is extremely progressive. that more progressive than our european friends. >> people that don't share in the sacrifice of taxes have little incentive to care whether the government is taxing too much. >> and ultra wealthy that pay lower rates because they have a lot of deductions but the averages for all groups, for instance, the top 1% pay an average tax rate of more than 24%. the top 5% a little more than 20%. the top 10%, about 18%. for the bottom 50% of taxpayers, the average rate is 1.85%. though fairness is one of president's favorite themes, polls suggest voters are not that receptive. a democratic think tank polled and found the message does not resonate.

>> they don't see themselves as victims in the system. 60% of them say, our system is basically fair. how to grow the economy they didn't talk about fairness. they talked about opportunity. >> when the president of the united states or any politician equates spreading the wealth around with fairness that is fundamentally at odds with what most americans think. >> even democrats think it's progressive though still argue taxes on the wealthy have to go up. >> we 5/6 country that is aging. we have a deficit problems going forward. there is going in the coming years there will be pressure to bring the taxes off the bottom where they are now. >> few dispute that it's progressive or the wealthy pay what many see a fair share. one recent poll asked what the maximum tax rate should be. 75% of them said, 30% or below. current top rates are 35% and president wants to raise them to almost 40.

>> arthel: scientists are touting a medical breakthrough in the fight against alzheimer's that doctors say could soon stop the disease. stick around. that is next. i brought your stuff. you don't have to do this. yes i do. i want you to keep this. it'd be weird. take care. you too. [ sighs ] so how did it go? he's upset. [ male announcer ] spend less time at gas stations. with best in class fuel economy. it's our most innovative altima ever. ♪ i've been fortunate to win on golf's biggest stages. but when joint pain and stiffness from psoriatic arthritis hit, even the smallest things became difficult. i finally understood what serious joint pain is like. i talked to my rheumatologist and he prescribed enbrel. enbrel can help relieve pain, stiffness,

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>>. >> arthel: welcome back, a possible breakthrough. scientists say they have isolated a gene that could protect against alzheimer's. dr. is chairman of university medicine in downtown state medical center in brooklyn. good to see you dr. lucazy. this gets everybody upright and paying close attention to you. first of all. we hear alzheimer's. alleged is a form of dementia, correct? >> dementia is broad picture. alzheimer's makes up the majority of patients who have dementia. >> arthel: is it inevitable that we're all going down that road to dementia? >> no, not at all. alzheimer's or dementia are not part of the normal uaj go process. alzheimer's is specific disease where your mental sbeilt deteriorated. mostly people that are over 65 years of age, a small

percentage. a small percentage can get it in their 40s and 50s. >> arthel: what precipitates that? >> alzheimer's there are proteins that actually clump together. one of them is ameloid which is what this study that stick on to the neurons that are the nerve cells and they transmit electricity that give you thinking ability. when the proteins clump on to that, they don't work as well. >> arthel: so can we talk about the medical aspects of it. i mentioned to everybody there is a gene that perhaps, still early discovery stages. what can you tell me? >> there is an ameloid precursor protein. it gets chopped out by certain chemicals in the body.

there is gene they think that is producer of this particular type of protein which they think is the majority of patients that have alzheimer's that is fix today the nerve cells. >> arthel: i understand you made it clear this is early studies and findings. however, if i am understanding you, is it fair to ask if you already have alzheimer's that it almost produces the gene or causes the gene to come alive? >> the thinking is, if they could identify a gene that pre-disposes to alzheimer's and you know early on in life they could develop medications that will turn off that gene or modify that gene. >> arthel: speaking of the pharmaceutical advantage, what if you have alzheimer's what is the best way to try to offset it for now? >> unfortunately there is no cure to alzheimer's. there are medications that you can take that will modify the symptoms. that is the best we can do right

now. there are things like general physical activity, health wellness that can actually delay the severe symptoms of alzheimer's. >> arthel: it's something that so many families do deal with. any sort of possible hope and good to know that you and your colleagues are consistently looking to try to figure out ways to ward it off or lessen the blow if you will. >> it's a devastating illness. >> arthel: thank you. every built of information helps. doctor, thanks so much. we'll have you again. >> gregg: we're following a developing story in egypt. an american pastor, one of two americans has been kidnapped. we're going to have breaking details coming up. small things can make a big difference. like how a little oil from here can be such a big thing in an old friend's life. purina one discovered that by blending enhanced botanical oils into our food,

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hello, everyone. glad you are with us of the. >> good to see you, mr. nard. welcome to a new hour of inside news america headquarterses. topping the news, secretary of state hillary clinton in egypt for the first meeting with the country's new president. what was said? we are live with the latest. >> and medicaid taking center stage at a high stakes meeting with governors. several states are already opting out of the new medicare expansion, medicaid expansion, what this could mean for millions of americans.

>> and new outrage over the uniforms. the uniforms our u.s. athletes will be wearing. they may be red, white and blue, but turns out they are not american. today's in you fallout. today's new fallout. >> we begin on the campaign trail. president obama, governor mitt romney trading jabs as the race for the white house enters a pretty rough new phase. 234* virginia -- in virginia today the president slamming governor romney for his time at bane capital. but romney is questioning the president's tactics. molly is live in washington with more. hi, molly. >> the president did not mention bane capital, a private equity firm, by name, but he paint former governor romney as a businessman who helped ship jobs overseas. the president just finished their seat in northern virginia, the end of his two-day swing in the battle state. they said romney may have committed a felony if he left

bane 3 years after he said he did. and they cited documents that bane filed with the government. but the president stuck to the out sourcing argument today. >> whereas my opponent in his private business was investing in companies that the washington post called pioneers of out sourcing, i believe in insourcing. i want to stop giving a tax break to companies shipping jobs overseas. let's give a tax break to those investing right here in virginia, right here in the united states of america. >> former governor romney says he left bane in 1999 to head up the 2002 olympics in salt lake city. but bane says there was a lag in updating paperwork leading to the discrepancy. romney calls oat bough ma's campaign an attack, quote, beneath the presidency. and duringent views yesterday with all of the broadcasts and the cable newschannels, he chided the president for

allowing his campaign team to make comments such as the felony remark. >> the american people look at it and say this is politics a lot worse than usual. and they expected more from this president. he was the one who talked about a post partisan presidency, a change in the way politics worked, a change in the way washington, woulded, and i think people assumed he would make it better. but instead with the kinds of attacks he has been launching over the last several weeks, he has been making it worse. >> romney says the obama campaign is going after bane capital to shift the political dialogue away from talk about the economy. greg? >> molly henninerg in washington. tragedy in the obama camp after a 29-year-old staffer collapses at the campaign chicago headquarters and dies. alex was a member of the paid media department that handles advertising for the 2012 campaign. president obama called his family to offer his con toll lenses and posted this -- condolences posting the

message "a beloved member of our campaign family passed away today. our prayers are with his loved ones. we will miss you, alex. governor romney offered condolences saying, quote, anne and i were deeply sadenned to learn about the death. prayers are with alex's loved ones and the entire obama campaign team, end quote. we have a fox news alert out of egypt now where we are learning more about two americans kidnapped there. gunmen forcing pastor michael lewis and another member of his congregation off their bus tour as they traveled across the peninsula. they also took their egyptian guide and translator. egyptian authorities say they are stepping up their authorities to free them. they are demanding the released of a relative in egyptian custody. they are also threatening more kidnappings if their demands

are not met. meanwhile, secretary of state hillary clinton is wrapping up her first face-to-face meeting with the country's new president. she is also using the visit to call on both military and civilian leaders to work together to complete the transition to democracy. we go live to jerusalem. leyland? >> arthel it couldn't come at a more important time. for the last 30 years u.s. and egypt relationship has been very good. egypt has been one of the u.s.'s key allies in the middle east. now things are getting shaky. secretary clinton met president mor ri sey at the presidential palace which is a -- which is an unusual place considering that a couple years ago he was in prison with the muslim brotherhood. they are a banned organization. as a strict islamist he promised to take a cover line not only with the united states, but israel when it comes to the foreign policy.

president morrisey is in a power struggle with the egyptian army. they are closer to the united states than president morrisey than he wants his country to be. we have a map that shows egypt's strategic importance, and president clinton came bearing gifts in the form of a couple million dollars. she will want some diplomatic token in return, namely increased intelligence sharing and safety and security along the israeli and egyptian border and warships through the suez canal where right now they have priority. the united states is very concerned that egypt is going to turn into another turkey. turkey was a strong u.s. ally, and a member of nato run by a military government. it was then put up to a national election. they voted in an islamist president, and since then turkey has moved farther and farther away from the united states and from pro western views. here in israel, of course, the officials were tight lipped

about mohamed morrisey taking over as the egyptian president. the rise of the muslim brotherhood, and suffice to say, they are concerned, to say the least. words of cooperation and continued peace were brought from the press conference today with secretary clinton and also by mohamed morrisey. they are very concerned and watching the situations they did very closely. arthel, back to you. >> cautious optimism. thank you very much. we are getting new reports that the syrian regime attacking civilians from the sky. opposition leaders claiming that government forces fired from helicopters killing at least six people. plus we are also getting word of another dangerous and significant development. fox news confirming that syrian forces are moving stockpiles of chemical weapons out of storage. this is according to a u.s. defense source saying the first signs came last week raising fears that the regime is preparing to use them. among the weapons in syria's

arsonal, nerve gas, mustard gas and cyanide. a fox extreme weather alert. historic drought conditions choking our nation. the department of agriculture declaring 26 drought stricken states making it the worst in the last quarter sen tray. we go live to our new york city studio with more. hi, anna. >> hi, arthel. we are out in new york city, and it is a bit warm out here as well, but nothing compared to what the midwest is feeling. parts of the midwest are receiving scattered showers, but meteorologists agree that it likely will not be enough to make a difference to the already scorched crops and livestock pastures. americans really have not seen a drought like this since 1988 and no real relief is in the forecast as temperatures are expected to climb into the upper 90s and even triple digits in some parts of the country. christmas tree sap ligs and

vegetables are drying up and corn and soy have been lost causing the price of these commodities to spike. they are calling for them to slash their u.s. corn production forecast to 12.97 billion bush shells down from 14.79 bush shells. this will of course affect other aisles at the grocery store as corn is a main ingredient in so many other products. indiana seems to be the epicenter of the agricultural catastrophe, but it is spreading to illinois and into iowa, the country's largest corn grower. >> our corn is 60 to 70% damaged. our beans are hanging on. our hay and pasture for the livestock producers, it is in that 70% range too. >> many people are comparing this disaster to the dust bowl of the 1930s. it not only destroyed crops, but lives as well. millions of acres of farmland

were damaged and hundreds of thousands of people forced that leave their homes. watering bans are being put in place. residents face a $492 fine if they water their lawn. these natural disaster areas that have been declared in some 26 states will help residents there to acquire low interest loans as they whether these natural disasters and the flooding and wildfires we are see august cross the country. arthel, back to you. >> as you stand out there in manhattan, we know it is hot. that's what most people think about is how hot it is. we always have to keep in mind that the farmers' lives and livlihoods are at stake. thank you very much. in arizona, just the opposite problem. too much rain causing serious flooding in phoenix. police say one man was killed when he was swept away by floodwaters in the western part of the state. and over in houston, texas, the rain refusing to let up for days. it is causing severe flooding there. listen to these residents.

>> i said i got a van. i should be able to make it. i don't know. figure it out. i did take my shoes off. >> we go live to the fox weather center. hi, maria. >> unfortunately we are going to be seeing more rainfall in areas we do not need it across areas that have dealt with a lot of heavy rain over the last several days, and are currently experiencing flooding out west and across the houston area. i want to add to what anna just mentioned. we have very hot temperatures across parts of the midwest. look at some of these high temperatures. like in rapid city, 100 degrees will be your high temperature today. 96 over in kansas city. you have had a well above average summer already with some of these temperatures you have seen during the afternoon hours. 97 will be your high in denver. of course these hot temperatures are going to be spreading eastward over the next several days. we will start to see them climbing across parts of the great lakes and also the northeast. as we head into monday and tuesday, middle to basically

low 90s across the city of detroit. philadelphia you could see a high at 96 on tuesday and 93 could be our high temperature here in new york city as we head into your tuesday. continuing to see the rain pushing into parts of the west. the four corners region and up into montana. as we head eastward a very large area of the country is seeing showers and thunderstorms from parts of southeastern texas and louisiana and the florida panhandle and up through parts of the great lakes. we could start to see some of the scattered showers and thunderstorms moving to portions of the northeast as we head into late tonight and tomorrow. heavier downpours across kentucky, central parts of tennessee and scattered about the houston area. houston right now, you are dry. we could be seeing more of the heavy downpours especially as we head into your sunday. that's where we are anticipating some of the heavier downpours from the strong storms. out west, utah, nevada, arizona and california have flash flood watches in affect. we have seen a lot of moisture. the ground is very saturated.

we can get an additional one to two inches through some of the heavy storms. flooding will be a concern. and as we head northward, idaho, montana and eastern parts of oregon and washington could see some strong to severe storms with large hail and damaging wind gusts will be the main concerns. right now across the center of the country it is already 102 in rapid city and 90 in minneapolis. >> it is wild weather these days. thanks very much. ralph lauren is promising big changes this olympic games. this after he discovered his team usa uniforms for the opening and closing ceremonies were actually made in china. the company now promising its red, white and blue outfits will be made in america for the 2014 winter olympics. ralph lauren is hoping that change will calm outrage in washington where lawmakers were calling for the uniforms to be remade.

the u.s. olympic team saying they have no comment. >> with less than two weeks until the summer games, british officials are beefing up their security in and around london. the nation's royal air force placing extra airspace restrictions around the city and the southeast today. surface to air missiles already in place. jets and helicopters with snipers will be patrolling the restricted zone. 3500 british troops will also step in to help protect the city. this after a private security contractor failed in its promise to deliver more than 10,000 security guards. the move now brings the total number of military personnel protecting the games to 17,000. when we come back, greg, a shocking new twist in the trayvon martin murder case. why accused shooter george

zimmerman says the presiding judge should be replaced. >> and a handful of governors already planning to opt out of president obama's new medicaid expansion. and several others say they may follow suit as well. is it a good idea a fair and balanced debate are coming up.

welcome back. actor sylvester stallone mourning the loss of his oldest son, 36-year-old sage. there is no word on the cause of death, but the l.a. coroner's office says there was no signs of foul play. new details in the trayvon martin case. george zimmerman wants a new judge in his murder trial claiming the current trial is biased. and credit card giant visa and mastercard will repay more than $7 billion in disputed card fees after several per -- per -- merchants sued over the fees in 2005. dealing with the cost of medicaid is topping the agenda

at the national governor's association meeting in virginia this weekend. florida, iowa, louisiana and south carolina already plan to opt out of medicaid expansion in president obama's new health care law. they say the cost will overwhelm their budget. several other governors say they are considering the same move with elections just months away implementing the president's health care plan and it is becoming a major campaign issue. bringing in now former democratic congressman and cal thomas. he is a syndicated columnist and a fox news contributor. good to see both of you. >> congressman, i will start with you. opting out, let's take about it. how much is about partisan politics or the state's pocket book or principal in that the states are saying, look, let us make our own decision. >> i think initially there are those whose ideology says we don't want anymore government involved. but the fact is 60% of the

cost of medicare are state requirements over and above the minimum federal requirement. here is why it is physician scalely priy -- fiscally prudent to do it. many states didn't opt in initially. arizona was the last holdout. over six years it saw the cost of the uninsured had risen by 300%. they said i have to be on medicaid because if i get them covered they will come in when the cold can be treatable rather than wait until it m abouts pneumonia -- pneumonia and it cost a lot more to cover them. it would be malpractice for them not to get people covered. and they -- >> let me point this out. a white house chief of staff

pointed out that the government will pay the full cost of covering the newly insured in the first three years and never less than 90% after that. so, cal, i ask you, will that create a cash caw -- canundrum down the line? >> save this sound byte. i agree with president obama. who in 2009 said it was foolish to pour more money into a broken system like medicaid without reform? i agree with that. bob mcdonald, the governor of virginia said the same thing. 17 of the governors in this country, 17 have something in common. they have balanced budgets or surpluses like mcdonald or mitch daniel son or they have -- they have surpluses or balanced budgets. what we need is reforming the system. i happen to agree with those who favor block grants from

washington to the states. one size fits all doesn't make it. we need reform of medicaid, medicare and social security. one is going broke. the other two -- one is already broke. two are going broke. we can't continue as we have been. >> you know, listen, cal, there is the other part of this argument though because we can't forget the people. some of the folks argued that the governors, if they choose to opt out, they were looking at millions of low income americans who were eligible for health care coverage. they will be uninsured, and that is one of the central parts of the health care law. i ask you -- i am not disputing your call for a reform, but how do you do it, and where the people don't fall through the cracks in the meantime? >> first of all there is no federal right to health care in this country. this is what the debate about obama care is all about. and if there is a republican senate joining a republican house and republican president, the nominee for the republican party, the presumptive nominee, mitt romney, said he would fix it.

there are many, many good plans out there from think tanks like heritage and kato to paul ryan's reform proposal. >> have i to get to joe -- have i to get to joe. give me an example of what some of the think tanks are saying, one example. >> paul ryan's plan is brilliant. it is not perfect. we need to devolve the power from washington to the state. no one size fits all anymore, no federal control. another look at the 10th amendment. the constitution limits the power of the federal government and empowers the states. that's for starters. people can google the paul ryan plan and read specifics for themselves. >> i don't know that i am going to edit myself there. i will keep going over to you. let me say this though, seriously, if cal is -- if what he is saying is right, then the owe nuss is on the state to oversee the medicaid distribution. how do you think that will turn out in your opinion, congressman?

>> i respect cal, but you have to look at the facts. no solutions over the past decade have done anything to stop 160 pennsylvania ans every day from losing their health care. between now and january, that's the equivalent of the state capital of pennsylvania, harrisburg. by doing nothing, you and i, arthel, with cal, are paying for the uninsured. it is a thousand dollars more on our health care plan. when they go to the hospital the state has to pick up the burden for 20% of the uninsured. then the health care companies pass that on to you and me and cal by -- because they tont want to pay for it -- they don't want to pay for it with higher premiums. standing by and doing nothing, or as cal said let's make block grant. bloomburg business came out yesterday and said if we do that it means that those seniors who are long-term assisted care will lose billions of dollars. here is the bottom line. in the military we give health care to everybody, not because we are liberal or socialist,

we give it because we wanted our seal team 6 to be productive warriors. mott leave the military to cover -- not leave the military to cover their children. we lose $150 billion because of the under insured. we need it because we compete with china. it is pragmatic leadership. >> 20 seconds, cal. >> look, the real block in washington are the democrats. the senate they have blocked every reform -- >> you know what, okay. i am going to jump in and end it because it is going to go political. cal thomas, thank you very much. >> they are mott talking points. >> -- not talking points. >> good to see you, but we have to focus on the people. >> it is a fact. >> cal thomas thank you, joe, thank you. good to see both of you. >> that was spirited, wasn't it? >> absolutely. a florida teenager claiming insanity in the beating of a 15-year-old girl. will the jury buy it? judge janeen pero will be

here. >> and people are either dead or missing after days of raining in japan. mudslides are washing away homes and forcing hundreds of thousands to pack up and get out. we'll have a live report.

it is bottom of the hour, and it is time for top of the news, and an historic meeting for the secretary of state hillary clinton. she calls on both civilian and military leaders to complete their transition to democracy. >> and we are just learning the identity of one of the americans kidnapped in the peninsula. gunmen forced a pastor off his tour bus along with another member of the nation.

>> and a crippling drought causing problems for farmers across america. it is too late to save some of the crops, and it is already causing some prices to spike. >> and on the other end of the weather spectrum, no relief in southeastern japan where there is no end in sight to deadly storms. days of rain triggering several mudslides there. the reports of dozens of people either dead or missing. david piper has the latest from bangkok. >> torrential rain continues to pound parts of japan forcing hundreds of thousands of people from their homes. it is the third straight day heavy rain has hit southwest japan. 29 people are dead or missing there. they are warning of more flooding and land slides on the main southern island. four inches of rain has been reported falling in the area. just as authorities are concerned it could be a major disaster because of the rising waters. they have ordered 250,000

people in the north island to leave their homes where more is reported. people have been told to go to official shelters such as schools and other public buildings. floodwaters have poured into the communities leaving heavy mud and debris everywhere. some people had to scramble to escape the rising water. nearly 80,000 people had to leave as the rivers over flowed their banks. 800 homes are damaged and three bridges were reported being washed away. they have been particularly hit hard. nearly three foot of rain has fallen in the past few days. 19 people have died in that area from landslides and homes collapsing. japan's defense forces have been brought out to help search for the missing. japan usually gets wet weather this time of year, but the current downpours are unprecedented, and they have

never seen anything like this before. back to you arthel. >> thank you very much for that report from bangkok. it seems these days that writers and bloggers and columnists find it hard to wrist giving governor romney some campaign advice. everyone appears to think he or she has the magic solution in making romney the next president of the united states. hi liz. >> good afternoon, greg. this is nothing new in politics. what is new about giving advice to candidates is we now have the internet. there is hundreds upon hundreds of people trying to advise the candidates on what to do. and romney is the recipient of most of this. he is the fall guy for advice this week. so far he is basically saying -- excuse me as i get my mic as it has will faen -- fallen.

can anybody hear me? >> i think we can still hear you. if you want to grab the mic. while you do that let me put up on the screen one of the more interesting memos to mitt romney was in the "wall street journal" . george shultz you remember is secretary of state labor and treasury. it is quite apparent that we need another round of the 1986 tax act that is to clean out all of the preferences and lower the rates. it is also not a mystery that the corporate tax rate is too high, and there are preferences there that could be cleaned out. when you think about it, liz, i suppose democrats could be happy about getting rid of exemptions and loopholes. republicans would be happy about lowering the race. >> when it comes to reducing things like taxes, the democrats democrats -- ace was saying before i had -- what do they call it? wardrobe malfunction?

>> a wardrobe malfunction. advice for romney is coming from everywhere. what it gets down to is come on, cats are on fire. you have to start being more detailed about the economy. don't get bogged down by bane, bane, bane. obama has been successful by putting you on the defensive. another thing which is really kind of sad, we have had many, many, many rich presidents. but if you are rich, the liberal press says you should really be put through this. he midthe rounds of the millionaires and the billionaires for money. this is nothing new. that's like stoping at lourdes for a political candidate. the clintons have made twice a spectacle of themselves. some call it 24-hour atm

machines when the clintons go to the hamptons. romney is getting hillary for that. they say being rich is awful. so they are really nailing him on that. apart from the fact that capitalism says if you work hard that is what america is all about. some of the press is saying he doesn't know how to be rich. they are actually saying, would you believe, you know, george bush knew how to be rich. he was gracious about it. what is going on? >> they always neglect to point out the fact that two of the richest presidents were democrats, john kennedy and franklin roosevelt. we will have to leave it at that. liz, thank you very much. >> nice to be with you. when we come back, the case of florida teen accused of a brutal beating goes to

the jury on monday. lawyers for wayne tracy's hope and insanity defense will help him avoid syria's jail time. what will it take to convince the jury? judge janeen piro is here live.

jury deliberations are set to begin on monday in the trial of a florida teenager accused of brutally beating a 15-year-old girl. wayne tracy is claiming insanity in the 2010 attack that left his victim with permanent brain damage. the defense says he was suffering from ptsd, post traumatic stress disorder following his brother's recent suicide. does tracy make the legal definition of insanity? so it is a mental disease or defect so severe that you don't know right from wrong. you can't control your

behavior. prosecutors admit he has a mental disease or a defect. it is the second part they say that doesn't satisfy insanity. >> and florida has the classic. the issue is whether or not he knew it was wrong. does he have post traumatic stress disorder? yes. does it rise to the level of a psychosis? we don't know that yet. the jury will tell us that. the experts disagree. the real issue is based on the facts, greg. did he know what he did was wrong? i will pause at this. before he stomps her like a watermelon and kicks her with steel towed boots five times he says "i am going to kill her." he talked about how he will stomp her and snap her neck. >> he told his friends he was going do it. >> yes. that is an intent ahead of time, possibly premeditation. and then after the fact says i think i killed someone. i'm going to jail. he understands the consequences. he knows he will go to jail, but you have this defense attorney hearsaying, look,

this is a good kid who never had a problem. >> they took another tack. it is the old let's trash the victim. >> it is the victim's fault. >> the defense attorney is saying she taunted him talking about why don't you go visit your dead brother, and apparently it is in an e-mail. that's a risky venture to blame the victim. >> it is risky to blame the victim, but when all else fails and it is clear your client put on his brother's steel-towed -- steel-towed boots to beat the victim. the sad thing is he didn't know the victim. he was trying to get in touch with another person who used this phone. the problem is he reached the night before how to commit murder. to me this is a guy who wanted to kill someone. and unfortunately this victim who is alive today, but suffered permanent brain damage was his victim. >> as you know planning

premeditation can happen in a matter of seconds. literally the courts have said so. what is interesting is the expert for the defense, a psychiatrist, said, well, when he read the e-mail from the victim he snapped and suffered what is known as a disassociative state of mind. he lost his sense of consciousness and couldn't control his behavior. that doesn't work. >> it is be lied by the fact that he planned a murder. he searched the internet the night before. he said what he was going to do to this girl, he was going to snap her neck and stomp her. he waits two and a half hours and forces his friend to take him to the school, and admits he did it and admits he is going to jail. that's not a psychotic state. there is too much organization for him to be considered disassociative and psychotic. this is a guy who was angry and there is a recent study that says one in 12 teens are incredibly angry and suffer from anger issues.

when he says "my brother hung himself and i am suffer prg that -- suffering from that" well i'm sorry, but a lot of family members have had family that committed suicide and they don't go out and kill somebody. >> i was going say 1%, but i think 2% is right. the jurors are given a choice here. they can go with a battery. they can go with manslaughter. >> it is attempted murder. >> that's the top charge. >> that's the top charge. >> it wouldn't be because of manslaughter. >> you know that, greg. there are lesser charges that they can consider. that might be, you are right, one way for them to in someway give this kid the benefit. i think the five times kicking the head with a metal or steel-towed boot, that's as vicious as it gets. he thought he killed her. >> a tragic story. >> horrible, horrible for the

victim. >> permanent brain damage. >> you are going to have more on this. >> yes, we will talk about this. >> you can catch justice with judge janeen tonight at 9:00 p.m. eastern time right here on the fox newschannel. arthel? >> thanks. it is a real horse race. president obama and governor mitt romney locked in unrelenting battles. what they are telling us about the future of the white house ahead.

across california firefighters are working to contain a fast moving wildfire outside sacramento. the high temperatures are helping spread the flames which already forced hundreds of people to leave their homes. an autistic man lost for three weeks in the utah desert is recovering in a hospital today. authorities found 28-year-old william lafevre severely emaciated, but alive. he said he ate frogs and roots to survive. and spain wrapping up this year's running of the bulls festival. the bulls did not manage to gore any runners today, but they got three on monday. as many as one million people traveled to the city of pam -- pamplona for the festivity.

>> i knifer -- i never got that. >> i totally don't get that. let's talk about politics and polls. the latest poll shows president obama and mitt romney locked in a very close race. look at the poll averages. there is a real average of the polls showing the president just under 47%. governor mitt romney trailing two and a half points. >> the latest rasmussen poll showing that 4% undecided and 5% say they are going to vote for a different candidate. >> somebody else. >> scott rase mu son is the author of "people's money." >> good to be with you. the numbers are close not just nationally, but in the swing states as well. we just did a poll in florida, the biggest swing state and romney is up by a point. these numbers can't get any closer. >> want to talk a little about what is traditionally in the course of the last year been

the number one issue to most americans and that is the economy. you polled folks, and they are not very confident that anything is going to change regardless of who wins? >> that's for sure. only 32% think the economy will get better if president obama is re-elected. 36% say if mitt romney is elected. the people who decide this election are even more pessimistic. the people think asking a politician to fix the economy is a bit like asking your plumber to come in and fix the electrical system. wrong person for the job. >> scott, you took the time to get the investors, get their look at the economy. they are saying that in their opinion the state of the economy it is not good. 52% believe that it is getting worse. it is way up from 36% because it was worth it at the beginning of the year.

so is this surprising or not? >> i don't know if it is not surprising, but actually the jobs report just over a week ago consumer and investor confidence sliped a little bit. people have gotten used to this. where we are today is investors and consumers are more pessimistic about the economy, but not as pessimistic than they were last year or the year before. and we seem to be sort of in this pessimistic funk not moving much in one direction or the other. >> is it the expectations are lowered or people are a little more comfortable or just saying we will just ride it out? what do you think? >> it certainly is not getting more comfortable. people are not getting used to the idea. only 16% believe the children will be better off than their parents. there is a deep concern, and there is a frustration about does anybody know how to make this work? two out of three americans trust their own economic jawment -- judgment more than

mitt romney and barack obama. they are not optimistic. >> a sad commentary on the state of politics. >> it is. >> let's talk about then sight tell meant program. social security is the biggest of all. are people skeptical they will every get the benefits from us? >> it depends on how old they are. a huge generation gap on this issue. among senior citizens, 80% say yes. we will get all of our promised benefits. among people under 40, just 21% think it is even somewhat likely they will get their benefits. in fact, we have reached a point where americans under 40 say it is no longer a good deal for us. social security is something they want to work, but they don't see it in a positive light today. >> and before we go, scott, we asked them -- you asked them what should be done about social security? the system as a whole? 82% taking a look now and think the government would

provide more security for retirees by making sure the trust fund is protected and adequately funded. 7% said it would be better to get rid of the fund and have the federal government pay all promised benefits to retirees out of annual operating budget. what is your analysis? >> well, people don't want social security. they don't look at it as a government handout. they look at it as it was promised. you set aside some money during your working life and draw down that money from a trust fund when you retire. the problem is the federal government today, and they even acknowledge this in the budget documents really doesn't mean it when they say there is a trust fund. they say congress can do whatever it wants with the money. that's what people want protection from. >> scott rase mu son, rasmussen report. stick around. julie banderas taking over at the top of the hour.

hello, everybody and welcome to a new hour inside america's news headquarters. >> topping the news this hour, flash flood watches are in affect for parts of the southwest following historic rainfall this week. now leaving some streets only accessible by boat. plus this. >> it is beneath the dignity of his office. >> why governor mitt romney is calling out president obama's

rey lengths -- re-election theme and renewing calls for an apology. their war of words coming up next. >> and is your smart phone picture perfect? we will look at some of the leading brands out there and separate the best from the rest. >> well, we start with politics. increasingly personal attacks are unfolding on unfolding on the campaign trail. president obama and governor mitt romney are taking their war of words to a new level. trading jabs and everything from diewlg campaign ads -- diewlg campaign ads and stump speeches and we have more on how nasty things are getting. we were told things would get nasty, molly. >> it always does. that's the nature of politics, i guess. they are particularly going at each other over governor romney's time at bane capital, a private equity firm. he left bane in 1999, but bane filed documents with the government listing romney as ceo for three years after that. bane says it was a lag in upda t